A company's flexible budget for 48,000 units of production showed variable overhead costs of $72,000 and fixed overhead costs of $64,000. The company incurred overhead costs of $122,800 while operating at a volume of 40,000 units. The total controllable cost variance is:
A) $1,200 favorable.
B) $1,200 unfavorable.
C) $13,200 favorable.
D) $13,200 unfavorable.
E) $15,200 favorable.
A) $1,200 favorable.
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